I’m the CFO of a small business, and our employees came to me expressing concerns about the CEO’s management style. Should I tell him? What should I do about their complaints?
No doubt, it must be incredibly uncomfortable to answer to the company employees while addressing what could be a very serious management issue. If you don’t take action, employees could quickly lose respect for the CEO, and his ability to lead might be called into question.
The solution is twofold. First, talk to the employees. Make sure you keep the conversation productive and positive. Let them know you hear their concerns and appreciate their willingness to share their thoughts with you. Ask for specific examples of the CEO’s management style that they find challenging. You’ll need them to “show, don’t tell” so that when you approach the CEO you can speak with authority.
Request that they not speak about these frustrations with their peers or underlings, since barbed gossip can erode company morale and productivity. Tell them you’ll do what you can to address the situation, and get back to them once there’s a plan in place.
Now, on to the more difficult part. Yes, you absolutely need to have a face-to-face with your CEO. The truth is that no one else will if you don’t. By virtue of the employees coming to you, they believe you’re able to have that tough conversation.
Of course, how you approach him depends on your current relationship. If it’s more of a peer-to-peer relationship and you have a history of talking about personal or uncomfortable topics, then addressing this issue shouldn’t be too difficult. If you don’t have such a history, you may want to consult an executive coach who can guide you in effectively confronting him.
Either way, tread lightly and come prepared with specific examples from the employees. Stress how important it is to address these issues for the company to thrive. Finally, make sure you have a game plan, like the name of an executive coach or management training program, to help your CEO find a solution.
— Toddi Gutner
Carol Strudeman - Belmont, CAThe CEO will want the company to succeed and should therefore be receptive to hearing what the employees have to say. Whether and how the CEO adjusts their management style depends on the CEO and the validity of the employee concerns. Smart CEOs will then address the employees directly (as a group., so that no one individual is targeted), and advise on what if any changes they'll be making and why.
Thank You- Andrew - san diego
Yes. If you don't, it's just a road to destruction for everyone involved. The CEO, employees, and you personally will suffer if the problem isnt eventually brought to his attention. I would have a meeting and get down everyone's problems, and then have them vote on which ones are the most important. Present these in business-like manner, while respecting his position and knowing that it he may take it personally. You have to be careful, but its absolutely necessary that you do it.
Thank You - MyCouponLady - Phoenix, AZ
I agree with keeping the lines of communication open, good suggestion there. However, sometimes by trying to keep it positive and producting, it may come across as you are stalling or blowing off the employee's concerns. There is a sense in which they need to feel that someone is identifying with and validating their concerns. So, I would just add that as a note.
Thank You - 1163706481
I have to agree completely with this answer. I am student in Business Administration and this subject comes up quite often. When management and employees cannot communicate effectively it does detreriorate the business overall. The management in this situationmay be able tocorrect minor things to get the employees behind him but if not then the management as a whole needs to make adjustments in order to protect the business.
Thank You - Terri - Eaton Rapids, MI
I have been on both sides. I have been management and I have been the employee. I have gone to the top dog on the employees behalf many times. You need to speak respectfully yet firmly so that the top dog understands that you are serious and yet open to discussion, not just making demands. I feel that anybody who is given demands, feels cornered and handles the situation differently than if they are approached with concerns and possible solutions. I have been the employee with specific tr
Thank You- HenryG - Spokane, WA
Terri... I have been in both roles also, At one time, I was a supervisor of 13 employees and when I was in that role, I had to go to my higher level manager on behalf of an employee for a pay raise, leave request, and other matters.. Someltimes it was very uncomfortable, but I was well respected on behalf of the people that I supervised, and I deriived great satisfaction. from it. Today, I am a conultant for the same compnay that I used to work for as a supervisor (after I retired from the com
Thank You
- jimbogibbo - ohio
I worked for chicago aircraft inc. for over a year and a half . and it pays by the month. every time pay day rolls around the owner of the company gos on vacation. and then comes back to do pay roll. that sucks.
Thank You - 1356950439
"Request that they not speak about these frustrations with their peers or underlings" ... What a stupid thing to say. You know that even before they came to the CFO to talk about this, that they have already been talking about this. And it was only when this level of talk reached a certain point that someone decided we need to go to the CFO. Second, when you say "Our Employees" what does that mean? Was it two people? Three? Half the staff? There are always going to be
Thank You - RoadKing - Kentucky
I'm wondering if this was my company CFO who posted this. Our CEO is also the owner. Instead of giving constructive criticism, he yells and degrades everyone. He is always saying I must be the smartest person here. And do I have to do everything myself. He is a real prick. Talking to him won't do the trick. He doesn't care. He will tell you if you don't like it go work somewhere else. I have put in countless resumes but with the economy so bad no responses at all. Everyone here is in the same bo
Thank You- John - Fairhope Al
Road King, I too have been in your shoes. Please remember ALL CEO's got their jobs by thru the work of others. NO ONE can do everything themselves or can run a business without good dedicated employees. Good CEO's know this, bad CEO's forget or choose to ignore. I have founf in my career that the latter group is actually very insecure, and they use bullying techniques because it is the easiest weapon to choose from. I was told a long time ago by a VERY WISE person to have my 'Go to H#!!" fu
Thank You
- sheryljr7 - NY
I am part of the Leadership Team at my company and we just went through a training about "Crucial Conversations" which speaks directly to a situation like this. I highly recommend the course and reading material.
Thank You - HR expert - Indianapolis
I'm sorry, but I strongly disagree with this advice. Going to the employees before you talk with the CEO will be considered, by his boss the CEO, as disloyal and tantamount to mutiny. My advice would be to talk with the CEO first.
Thank You- sethwolffe - California
The advice to to speak with the employees so the the CFO has a clear understanding of the problems so he doesn't just walk into the CEO's office and say "Sir, the employers think you suck.", and has an opportunity to formulate a plan of possible action.
Thank You
- ched35 - oh
This sounds just like the job I have. The CEO is totally stupid. His decision are all one sided, which is marketing. No clue on what his current employees are going through. If he doesn't get a clue soon, he will be hiring all new employees...SOON!!!
Thank You - 797839307
it's never mentioned how long the CEO has had that position. it is difficult for employees to adjust to a new CEO or c-level manager, especially when they are placing tougher demands or expecting more out of the employees. employees will try to deflect by complaining about that new person in order to place the blame of not wanting to adhere to new policies, demands or requirements. "it's not me, it's him/her" becomes the new mantra. buying into that kind of thinking devalues the positi
Thank You - dhpmn - Minnesota
I had a similar situation-the CEO was completely unapproachable to employees--I took their concerns to the CEO and ended up being fired! (I took the CEO with me, but that's another story.) If the employees have these concerns, the should go through their chain of command, not through the CFO.
Thank You - Scott H - Denver CO
Too many questions remain...is this a "family" owned business and the CEO is family? If so, I would say forget the conversation and it is time for you to move on. I have had nothing but bad experiences from "family" owned businesses, especially since I wasn't part of the family. Same goes if he is the CEO/owner or majority owner...unless this is a publicly traded company and you know someone on the board, time to abandon ship. I just don't see how this can end well for th
Thank You - beenthere - Missouri
Are you absolutely crazy? If the CEO is a bad boss, guess who gets fired in this situation? In the end the CFO losses his job and the employees are left even more desperate than they were before because they'll realize why he was terminated. This isn't some Harvard Business School classroom exercise. This is real life. If that CFO wants to keep his job and his paycheck, he should keep his mouth shut. Nothing good or productive will come from the CFO following your advice.
Thank You - Jeff - New York
The answer leaves out an important tactic to help address the CEO. Be sure when talking to the CEO to frame the input as being about his style - which is his performance- rather than about him, the person. Depersonalize it by making the observations about what he does, not who he is. The CEO is presumably committed to high performance in the organization. He should be able to focus on improving his own performance!
Thank You - Snuffleupagus - Seattle, WA
"Request that they not speak about these frustrations with their peers or underlings" --- that is against the law! Employees have a right to discuss work place condintions with each other. An employer who tells employees not to do this is risky facing charges from the National Labor Relations Board (whether or not it's a union workplace). Just a warning.
Thank You - King-underling - Sub basement
Yes, please don't tip off the underlings.
Thank You - Nathan - Nashville, TN
The CEO wasn't born the CEO. He became the CEO for a reason. He doesn't answer to you; he answers to the owner(s). If you don't like it, go work somewhere else. If you want to stay, get with the program. Thousands of years of social programming and political theory don't just go away because a few HR professors, many of whom never do any mission essential business unit managing, got together and decided to coddle employees and make them feel better. This is the problem with people trying to stu
Thank You - Jim - Rock Island, IL
REVOLT with the employees who are actually doing the work. Take over the company from this obviously worthless CEO who is living off the efforts of others. A CEO so inconsiderate, elitist, ego-centric, anti-staff, removed from reality, unaware he is disliked should not be in an executive position! Gutner's comments are the standard placate the self-serving boss attitude. You and the concerned employees should toss the CEO out the nearest window, take over the company and become a productive
Thank You - Freedomofchoice - Tampa, FL
If these employees are unhappy, why don't they leave? The great thing about America is that everyone has the choice to do whatever they want to do...they just have to be prepared to deal with the consequences. The CEO is in his role for a reason. The employees are not entitled to employment with this company. If they don't like the management style of the CEO, they should seek employment with a company where their work style meshes with the management style. Or better yet....they should for
Thank You - John Fenner - Boca *****
You forgot to include in the CFO's Plan, to "pack his parachute" and get his resume updated.
Thank You - Julie - Santa Barbara
A CFO who doesn't know how to handle this? Is this a made up question?
Thank You - mexoplex - Washington DC
i would like to hear how this situation worked out. Any way of getting an update?
Thank You - Michael - Wisconsin Rapids, WI
In a utopian world, Toddi Gutner may be correct in suggesting the CFO approach the CEO. In the real world, I would not give this advice unless the CFO is willing to look for other employment. A person must first understand the company culture, the type of management style, and relationships. The CFO seems to be a great listener, but not a manager. It might be felt that the CFO is over-stepping his/her responsibilities. If the company has a strong top-down corporate structure, I would advise not
Thank You - **** Burns - NYC
Ladies and Gentlemen.... Just in case you don't know.. over 90% of all.. yes all CEOs and CFOs.. are mental friggin retards.. Most are no better or worse to lead or destroy a company. And believe be... almost all.. yes ALL are extremely.. overpaid.. The ones that are generally good are one that have performance based incentives. Oh.. and by the way.. the politicians, doctors and lawyers are mostlly retarded as well.. Its a beautiful world we live in. Every great civilization has had a fall.
Thank You